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digital innovation and design:
  lessons learned from iPhone
               August 2, 2010
         @ Academyhills, Tokyo,...
Youngjin Yoo
youngjin.yoo@temple.edu
http://youngjinyoo.com
Twitter: yxy23yoo
1.0
what is the most
famous innovation over
  the last few years?
since   2007...

40,000,000 iPhones
2,000,000,000 apps
99.4% apps
      for iPhones
game changer
zero
30%
375% annual growth
from 2008 to 2009
$15.7 billion in
quarterly revenue
$1.83 billion
quarterly net profit
61% increase in sales
world largest “mobile
device” manufacturer
There are many better
 phones. But none of
      them copied its
            success.


          Why?
200,000
what is the secrete of
   its success?
it is NOT a phone
multiple meanings
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
2.0
microprocessor

1992        2008
$222         $.27
1 gigabyte memory

1992         2008
$569         $.13
1 giga byte transmission

  1999           2008
  $1,197         $130
digitization
of tools and
   works
digitization of products
digitization of contents
digitization of time &
        space
digitization of
 relationship
digitization of triviality
radical digitalization
in all dimensions of
human experiences
place




things   experiences   people



            time
tight
 coalescence
     between
digital and
  physical
materiality
familiar images of
   computing
new images of
computing experiences
© copyright 2009, youngjin yoo
© copyright 2009, youngjin yoo
© copyright 2009, youngjin yoo
“what used to fit in a
building now fits in your
pocket”
                 -- Ray Kurzwell
Are you deliberately
 taking advantage of
     this change?
If you don’t,
somebody else will.
The question is
 HOW?
3.0
deep changes in the

economy
CFO
of the year
CFO
magazine
1998 - Scott Sullivan
WorldCom
1999 - Andrew Fastow
     Enron
2000 - Mark Swartz
     Tyco
sponsor
Arthur Andersen
ethical issue?
shifts
in the economy
from industrial economy
to knowledge economy
making the
same stuff
better and
cheaper is
not enough
access to
capital market
is not as
important
knowledge economy
things   actions
possession   experience
single meaning




multiple meanings
OR   AND
foreground   background
noun   verb
2+2=4
2x2=4
when rule changes
everything changes
even if they look familiar
What are you selling?

      Starbucks

          vs.

    Dunkin’
Donuts
All bags are not
created equal!
Mon
Blanc
    vs.
   Bic
There is Mont
   Blanc
and the rest...
4.0
key strategic points
1.
meaning making
Blue Ocean
Red Mango
Nike’s competitor?
Nintendo
competition of


ideas
the future of car?
ultimate
driving machine
moving
computing
 platform
urban transporter
?
how
ask right questions
looking for Tide
     Killer?
Q: why do you use Tide?

A: to have clean clothes
Q: what do you mean
by clean clothes?
no
dirt
no
dirt




fresh
smell
no
dirt




fresh
smell




   soft
fabric
no
dirt

                 clean

                 color

fresh
smell




   soft
fabric
no
dirt

                        clean

                        color

fresh
smell

                  ready
for

         ...
2.
from things to actions
from noun company
  to verb company
own your

verb
are you a noun
company or a verb
    company?
?
how
design for actions
How do you see?
observe
with
hypotheses
signs?

                  culture?


                                        why?
                             patterns

w...
3.
embrace AND
reduction of
variance
creation of
variance
?
how
study the contexts
follow people
stationary
observation
personal archeology




what is in your bag?
follow things

   follow
people
or
things

... through the eyes of chopsticks
extreme users
who’s your customer?
4.
enable others
generative platform
harnessing
the creative power of
    others
?
how
perfect
incompleteness
5.
identity
the history of the phone
© copyright 2008, youngjin yoo
© copyright 2008, youngjin yoo
what are you designing
        now?
NTT DoCoMo
phone 67%
e-mail 100%
 web 67%
life style infrastructure
never ending journey
THANKS!
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
Digital Innovation and Design
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  • Apple controls very small portion of software and hardware, mostly for digital copyright protection. all the design was outsourced -- even the choice of color and manufacturing. In fact, the entire MP3 circuit board was designed and manufactured by HK-based company.











  • iPod, iTunes and iMac convergence picture here







































































































  • Pictures of new tides?
  • Pictures of new tides?
  • Pictures of new tides?
  • Pictures of new tides?
  • Pictures of new tides?




















































  • Transcript of "Digital Innovation and Design"

    1. 1. digital innovation and design: lessons learned from iPhone August 2, 2010 @ Academyhills, Tokyo, Japan
    2. 2. Youngjin Yoo youngjin.yoo@temple.edu http://youngjinyoo.com Twitter: yxy23yoo
    3. 3. 1.0
    4. 4. what is the most famous innovation over the last few years?
    5. 5. since 2007... 40,000,000 iPhones 2,000,000,000 apps
    6. 6. 99.4% apps for iPhones
    7. 7. game changer
    8. 8. zero
    9. 9. 30%
    10. 10. 375% annual growth from 2008 to 2009
    11. 11. $15.7 billion in quarterly revenue
    12. 12. $1.83 billion quarterly net profit
    13. 13. 61% increase in sales
    14. 14. world largest “mobile device” manufacturer
    15. 15. There are many better phones. But none of them copied its success. Why?
    16. 16. 200,000
    17. 17. what is the secrete of its success?
    18. 18. it is NOT a phone
    19. 19. multiple meanings
    20. 20. © copyright 2008, youngjin yoo
    21. 21. © copyright 2008, youngjin yoo
    22. 22. © copyright 2008, youngjin yoo
    23. 23. © copyright 2008, youngjin yoo
    24. 24. © copyright 2008, youngjin yoo
    25. 25. © copyright 2008, youngjin yoo
    26. 26. © copyright 2008, youngjin yoo
    27. 27. © copyright 2008, youngjin yoo
    28. 28. © copyright 2008, youngjin yoo
    29. 29. © copyright 2008, youngjin yoo
    30. 30. © copyright 2008, youngjin yoo
    31. 31. © copyright 2008, youngjin yoo
    32. 32. © copyright 2008, youngjin yoo
    33. 33. © copyright 2008, youngjin yoo
    34. 34. © copyright 2008, youngjin yoo
    35. 35. 2.0
    36. 36. microprocessor 1992 2008 $222 $.27
    37. 37. 1 gigabyte memory 1992 2008 $569 $.13
    38. 38. 1 giga byte transmission 1999 2008 $1,197 $130
    39. 39. digitization of tools and works
    40. 40. digitization of products
    41. 41. digitization of contents
    42. 42. digitization of time & space
    43. 43. digitization of relationship
    44. 44. digitization of triviality
    45. 45. radical digitalization
    46. 46. in all dimensions of human experiences
    47. 47. place things experiences people time
    48. 48. tight coalescence between digital and physical materiality
    49. 49. familiar images of computing
    50. 50. new images of computing experiences
    51. 51. © copyright 2009, youngjin yoo
    52. 52. © copyright 2009, youngjin yoo
    53. 53. © copyright 2009, youngjin yoo
    54. 54. “what used to fit in a building now fits in your pocket” -- Ray Kurzwell
    55. 55. Are you deliberately taking advantage of this change?
    56. 56. If you don’t, somebody else will.
    57. 57. The question is HOW?
    58. 58. 3.0
    59. 59. deep changes in the economy
    60. 60. CFO of the year
    61. 61. CFO magazine
    62. 62. 1998 - Scott Sullivan WorldCom
    63. 63. 1999 - Andrew Fastow Enron
    64. 64. 2000 - Mark Swartz Tyco
    65. 65. sponsor Arthur Andersen
    66. 66. ethical issue?
    67. 67. shifts in the economy
    68. 68. from industrial economy
    69. 69. to knowledge economy
    70. 70. making the same stuff better and cheaper is not enough
    71. 71. access to capital market is not as important
    72. 72. knowledge economy
    73. 73. things actions
    74. 74. possession experience
    75. 75. single meaning multiple meanings
    76. 76. OR AND
    77. 77. foreground background
    78. 78. noun verb
    79. 79. 2+2=4
    80. 80. 2x2=4
    81. 81. when rule changes
    82. 82. everything changes
    83. 83. even if they look familiar
    84. 84. What are you selling? Starbucks
 vs.
 Dunkin’
Donuts
    85. 85. All bags are not created equal!
    86. 86. Mon
Blanc vs. Bic There is Mont Blanc
    87. 87. and the rest...
    88. 88. 4.0
    89. 89. key strategic points
    90. 90. 1. meaning making
    91. 91. Blue Ocean
    92. 92. Red Mango
    93. 93. Nike’s competitor?
    94. 94. Nintendo
    95. 95. competition of ideas
    96. 96. the future of car?
    97. 97. ultimate driving machine
    98. 98. moving computing platform
    99. 99. urban transporter
    100. 100. ? how
    101. 101. ask right questions
    102. 102. looking for Tide Killer?
    103. 103. Q: why do you use Tide? A: to have clean clothes
    104. 104. Q: what do you mean by clean clothes?
    105. 105. no
dirt
    106. 106. no
dirt fresh
smell
    107. 107. no
dirt fresh
smell soft
fabric
    108. 108. no
dirt clean
 color fresh
smell soft
fabric
    109. 109. no
dirt clean
 color fresh
smell ready
for
 important
 meeting soft
fabric
    110. 110. 2. from things to actions
    111. 111. from noun company to verb company
    112. 112. own your verb
    113. 113. are you a noun company or a verb company?
    114. 114. ? how
    115. 115. design for actions
    116. 116. How do you see?
    117. 117. observe with hypotheses
    118. 118. signs? culture? why? patterns where & when people tools? meaning? actions
    119. 119. 3. embrace AND
    120. 120. reduction of variance
    121. 121. creation of variance
    122. 122. ? how
    123. 123. study the contexts
    124. 124. follow people
    125. 125. stationary observation
    126. 126. personal archeology what is in your bag?
    127. 127. follow things follow
people
or
things ... through the eyes of chopsticks
    128. 128. extreme users
    129. 129. who’s your customer?
    130. 130. 4. enable others
    131. 131. generative platform
    132. 132. harnessing the creative power of others
    133. 133. ? how
    134. 134. perfect incompleteness
    135. 135. 5. identity
    136. 136. the history of the phone
    137. 137. © copyright 2008, youngjin yoo
    138. 138. © copyright 2008, youngjin yoo
    139. 139. what are you designing now?
    140. 140. NTT DoCoMo
    141. 141. phone 67% e-mail 100% web 67%
    142. 142. life style infrastructure
    143. 143. never ending journey
    144. 144. THANKS!
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